XYZ Plc has just paid a dividend of £1.5 per share. The dividends are expected to grow at 12% per year for the next thre

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answerhappygod
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XYZ Plc has just paid a dividend of £1.5 per share. The dividends are expected to grow at 12% per year for the next thre

Post by answerhappygod »

XYZ Plc has just paid a dividend of £1.5 per share. The
dividends are expected to grow at 12% per year for the next three
years and at the rate of 3% per year thereafter. If the required
rate of return on the stock is 6%, what is the present value of the
stock?
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